A mortgage is a serious long-term financial commitment and a legally binding contract so it's important to choose the right mortgage for your situation. The type of mortgage you select may make a big difference in your monthly payments and the overall cost of your loan.
There are two types of mortgages – fixed-rate and adjustable-rate – that have their own set of features and benefits that need to be carefully considered.
More than 90% of all home buyers today that are financing their homes are doing so with a fixed-rate mortgage, locking in historically low interest rates. But for those who plan on living in their home for less than five to seven years or whose budget can withstand payment fluctuations, an adjustable-rate mortgage may make more sense. Talking with reputable lenders and counselors can help you decide which is best for you. Our calculator can help you see the impact on your monthly payments.
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